Compiled by: Felix, PANews
The recently popular x402 protocol has made new progress. Launched by Coinbase and designed for AI agents, the open-source payment protocol x402 released its V2 version on December 11. This version has been optimized based on V1, expanding from single-call payments to a unified network payment layer.
x402 was initially released in May 2025, with the idea of embedding payments directly into HTTP using the long-idle 402 status code. In just a few months, x402 processed over 100 million payments from APIs, applications, and AI agents, supporting various application scenarios from paid API calls to on-demand purchases of computing and data.
Coinbase stated that this update has restructured the protocol, making it more versatile, flexible, and easier to scale across networks, transport methods, identity models, and payment types. It marks a shift in the protocol from 'what can be done' to 'how to seamlessly integrate with existing services.'
Unified payment interface
x402 V2 introduces a standardized payment interface that connects blockchain networks and traditional payment systems. It supports multiple blockchains, including Base and Solana, while maintaining compatibility with ACH and card networks.
x402 V2 simplifies developer integration by establishing a single format for identifying networks and assets. Developers can create cross-chain payment processes without complex adjustments or custom logic. This unified architecture supports flexible payment models, including subscriptions, prepaid, and multi-step billing.
This update also introduces dynamic 'payTo' routing, which can route funds to specified addresses, roles, or callback-based payment logic based on requests. This feature is ideal for marketplace platforms and multi-tenant APIs. Additionally, it can implement dynamic pricing based on input data.
Scalable architecture and compatibility
The modular architecture introduced in V2 separates protocol specifications, SDK implementations, and payment service providers. This structure makes x402 V2 plugin-driven, allowing developers to add new blockchains or payment behaviors without changing the core protocol.
x402 V2 integrates lifecycle hooks, allowing builders to insert custom logic at critical points in the payment process (e.g., before/after payment is sent, before/after settlement verification). These hooks support complex features such as conditional routing, fault recovery, and metric monitoring. In this way, x402 V2 enhances efficiency and reliability in various financial environments.
The updated SDK supports multiple payment service providers simultaneously, allowing developers to set preferences for network or asset priorities. This flexibility ensures smoother payment routing across blockchains and platforms. x402 V2 enhances interoperability, stability, and developer efficiency within a unified framework.
Wallet access and developer experience
x402 V2 also restructured wallet and identity management. By introducing reusable wallet sessions, it eliminates redundant payment verifications for returning users or AI agents. This feature reduces transaction delays and enhances cost-effectiveness in high-frequency payment environments.
The system includes a modular payment wall component package that supports custom payment backends for EVM and Solana networks. This modular design encourages developers to build and adjust payment walls to fit different business models. It also lays the groundwork for future wallet-based identity standards (e.g., 'Login with X').
x402 V2 updates have automated service discovery and metadata management through its Discovery expansion. This allows service providers to index services, update prices, and manage routes without manual intervention.
Coinbase indicated that the launch of x402 protocol V2 represents another significant milestone in allowing value to flow as easily as information on the network. By expanding compatibility, simplifying the developer experience, and supporting new payment and identity models, V2 transforms x402 into a more flexible payment layer that supports manual, application, and agent-driven payments.
(The above content is excerpted and reproduced with permission from partner PANews, original link)
"The 'V2 version' of x402 is here; what major upgrades does the new protocol have?" This article was first published on (Block Customer).
